Financials

Fountain Asset Corp. Adopts Advance Notice By-law Subject to Shareholder Ratification

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Fountain Asset Corp. (TSXV:FA) said on September 1, 2026 that it had adopted an Advance Notice By-law governing certain director nominations submitted by shareholders. The measure took effect immediately, but it must still be approved, confirmed and ratified at the company’s next Annual and Special Meeting of Shareholders to remain effective.

#Scope of the by-law

The new rules apply when shareholders nominate candidates for election to the board, except where the nomination is made through a request for a shareholder meeting or through a shareholder proposal, in each case under the Canada Business Corporations Act.

Shareholder notices must provide specified information about the proposed nominee and follow the written format required by the by-law. Fountain’s Board of Directors may waive any requirement under the provisions at its sole discretion.

#Deadlines for annual meetings

For an annual shareholder meeting, a nomination notice must reach the company no fewer than 30 days before the meeting and no more than 65 days before it.

Where the annual meeting is scheduled less than 50 days after the first public announcement of its date, the notice may instead be submitted by the close of business on the 10th day after that announcement.

#Deadline for special meetings

For a special shareholder meeting that is not also an annual meeting, the notice deadline is the close of business on the 15th day following the first public announcement of the meeting date.

#Shareholder approval remains required

Although the by-law is currently in effect, it will cease to operate unless shareholders approve, confirm and ratify it through a resolution receiving a majority of the votes cast at the next Annual and Special Meeting of Shareholders.

Fountain described the by-law as similar to advance notice provisions adopted by many other Canadian public companies. The company also identified the possibility that shareholders may not ratify the measure as a risk connected with its forward-looking statement about the approval process. It cautioned that actual events or results could differ materially from forward-looking statements.

#About Fountain Asset Corp.

Fountain Asset Corp. describes itself as a merchant bank providing equity financing, bridge loan services involving asset-backed or collateralized financing, and strategic financial consulting services. Its stated areas of activity include marijuana, oil and gas, mining, real estate, manufacturing, retail, financial services and biotechnology.

#Key Takeaways

  • Fountain Asset Corp. adopted an Advance Notice By-law on September 1, 2026.
  • The rules establish notice periods and information requirements for certain shareholder director nominations.
  • Annual-meeting notices are generally due between 30 days and 65 days before the meeting.
  • Special-meeting notices are due by the close of business on the 15th day after the first public announcement of the meeting date.
  • The by-law will cease to be effective unless shareholders approve, confirm and ratify it by a majority of votes cast at the next Annual and Special Meeting of Shareholders.

#What has Fountain Asset Corp. announced?

Fountain Asset Corp. (TSXV:FA) announced on September 1, 2026 that it had adopted an Advance Notice By-law. It is effective immediately and will be submitted for approval, confirmation and ratification at the company’s next Annual and Special Meeting of Shareholders.

#What does the Advance Notice By-law require?

It requires shareholders to give Fountain advance notice when making certain director nominations. The requirement does not apply to nominations made through a meeting request or a shareholder proposal under the Canada Business Corporations Act. The notice must also contain the information about the nominee required by the by-law.

#What are the notice deadlines for an annual shareholder meeting?

For an annual meeting, notice must be submitted no fewer than 30 days and no more than 65 days before the meeting. If the meeting will occur less than 50 days after the first public announcement of its date, notice may be provided by the close of business on the 10th day following that announcement.

#What is the deadline for nominations at a special meeting?

For a special meeting that is not also an annual meeting, notice must be provided by the close of business on the 15th day following the first public announcement of the meeting date.

#Are there formal requirements or possible waivers under the by-law?

Yes. The by-law specifies the written format for a shareholder’s notice and the information needed for it to be valid. Fountain’s Board of Directors may waive any requirement under the provisions at its sole discretion.

#What shareholder approval is required for the by-law to remain effective?

The by-law must be approved, confirmed and ratified by a resolution receiving a majority of the votes cast by Fountain shareholders at the next Annual and Special Meeting of Shareholders. Without that approval, the by-law will cease to be effective.

#What risks has the company identified?

Fountain identified failure by shareholders to ratify the Advance Notice By-law as a risk related to the forward-looking statement about the approval process. The company also said that forward-looking statements involve known and unknown risks and uncertainties, and that actual events or results could differ materially from those described.

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Frequently Asked Questions

Fountain Asset Corp. (TSXV:FA) announced on September 1, 2026 that it had adopted an “Advance Notice By-law”. The by-law is effective immediately but will be placed before shareholders for approval, confirmation and ratification at the next Annual and Special Meeting of Shareholders.
The by-law requires advance notice to be given to the Company when shareholders make director nominations other than through a request for a meeting or a shareholder proposal, in each case in accordance with the Canada Business Corporations Act. It also sets out information about the proposed nominee that must be included for the notice to be valid.
For an annual shareholder meeting, notice must be given not less than 30 days prior to the meeting and not more than 65 days before the meeting. If the annual meeting is to be held less than 50 days after the first public announcement of its date, notice may be given not later than the close of business on the 10th day following that announcement.
For a special meeting of shareholders that is not also an annual meeting, notice must be given to the Company not later than the close of business on the 15th day following the first public announcement of the date of the special meeting.
The Advance Notice By-law prescribes the proper written form for a shareholder’s notice. It also provides that the Company’s Board of Directors may, in its sole discretion, waive any requirement under the provisions.
Pursuant to the Canada Business Corporations Act, the Advance Notice By-law will cease to be effective unless it is approved, ratified and confirmed by a resolution adopted by a majority of the votes cast by the Company’s shareholders at the Meeting.
The Company identifies failure of shareholders to ratify the Advance Notice By-Law as a risk to the forward-looking statement concerning shareholder ratification. It also states that forward-looking statements involve known and unknown risks and uncertainties, that actual results or events could differ materially, and that there can be no assurance that such statements will prove accurate.